Prices farmers received for their products fell 4.8% in May compared with a year earlier as crop price declines offset increases in total livestock and animal products, according to Statistics Canada data released Thursday.
Crop prices fell 14.4% in May compared with prices in May 2008. Commodities with the steepest price declines included grains (-36.8%), oilseeds (-16.3%) and specialty crops (-14.5%). These declines offset a 42.7% increase in potato, a 13.9% increase in fruit and a 6.5% increase in vegetable prices.
Grain and oilseed prices fell because of increased stock for these products in the past year due to strong production in 2008.
Livestock and animal product prices rose an overall 2%, building on price increases that began a year ago. All commodities except hogs and eggs recorded price increases. Cattle prices rose 4.1%, supported by lower input costs and reduced inventory.
For the year, however, all life stock products except dairy have declined in the past year. Hog prices are down 8.3%, and cattle prices remain 6.6% lower than they were a year ago.